The Australian Medical Association believed that the HealthMinister's recent statement claiming that 75% of doctors supportedthe reforms to Medicare was incorrect. It thought that the actualsupport for the reforms was lower than this. The Association'sPresident suggested the best way to test this was to survey 150members, selected through a random sample, on the issue. Sheindicated that the Association would be prepared to accept a Type Ierror probability of 0.05.
1. State the direction of the alternative hypothesis for thetest. Type gt (greater than), ge (greater than or equal to), lt(less than), le (less than or equal to) or ne (not equal to) asappropriate in the box.
2. State, in absolute terms, the critical value as found in thetables in the textbook.
3. Determine the lower boundary of the region of non-rejectionin terms of the sample proportion of respondents (as a % to twodecimal places) in favour of the reforms. If there is no(theoretical) lower boundary, type lt in the box.
4. Determine the upper boundary of the region of non-rejectionin terms of the sample proportion of respondents (as a % to twodecimal places) in favour of the reforms. If there is no(theoretical) upper boundary, type gt in the box.
5. If 102 of the survey participants indicated support for thereforms, is the null hypothesis rejected for this test? Type yes orno.
6. Disregarding your answer for 5, if the null hypothesis wasrejected, could the Association claim that the Health Minister'sassertion is incorrect at the 5% level of significance?
